Project Vault prepares up to $1 billion in manufacturer loans
The US-backed initiative is discussing financing with more than 70 companies, with an initial tranche expected to cover over a dozen manufacturers.
Key takeaways
- Project Vault is preparing up to $1 billion in loans for American manufacturers seeking critical minerals.
- The first financing tranche is expected to cover more than a dozen manufacturers.
Project Vault is preparing up to $1 billion in loans for American manufacturers seeking critical minerals. VaultCo, which manages the initiative, is discussing financing with more than 70 companies across the supply chain, Bloomberg reported.
VaultCo Executive Chairman Brett Lambert said the first tranche is expected to cover more than a dozen original equipment manufacturers, with another group to follow shortly afterward. The recipients will not be named at this stage, but the announcement is expected to identify the types of minerals requested.
The initiative is backed by a $10 billion loan from the US Export-Import Bank and nearly $2 billion in private investment. Glencore and Mercuria have each committed $500 million, and Mercuria has delivered 12,000 tonnes of copper from the Democratic Republic of Congo.
Project Vault is designed to build inventories around manufacturers’ requests, which include processed materials such as magnets, powders and alloys as well as raw minerals. The next challenge will be turning those specific requests into reliable inventories, particularly for processed materials that may be harder to source.
This article was produced with the help of AI technology. Based on reporting by the outlets listed above.
